The Guardian view on the London Stock Exchange: its struggles are symptoms of a broken growth model | Editorial
Briefly

The City of London, once the world's financial powerhouse, is experiencing a significant decline in its stock market. Companies are moving away from London towards Europe and the US, while the stock market shrinks at a rapid pace. Efforts by politicians and organizations like the CBI to revive the exchange through deregulation do not tackle the fundamental issues. British businesses are growing slowly; pension funds have drastically reduced their UK equity investments, and shareholder demands for dividends are worsening economic stagnation.
The stock market is shrinking at its fastest rate since 2010, with companies increasingly leaving London for Europe and the US.
The stock exchange gives companies access to capital, which should boost productivity and economic growth, but is failing to do so in Britain.
British businesses have experienced slow growth while shareholders prioritize dividend payments, leading to stagnant economic conditions and wealth redistribution.
Pension funds once major buyers of UK equities have reallocated their investments, with only 6% now in UK stocks compared to 53% in 1997.
Read at www.theguardian.com
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